Sports Betting And Its Regulation In Brazil: New Possibilities For Trademark Registration

• Published date: 28 March 2024
• Subject Matter: Intellectual Property, Media, Telecoms, IT, Entertainment, Trademark, Sport
• Law Firm: Venturini IP
• Author: Ms Adriane Bonato

Online sports betting is booming all over the world, not only in traditional markets such as the United States and the United Kingdom, but also in emerging countries such as Brazil.

Brazilians have a long tradition of passion for sports, especially soccer, which naturally extends to sports betting.

A study conducted by SimilarWeb identified that betting sites generated 14.2 billion hits worldwide in 2022. Brazil tops the list with 3.2 billion hits, which represent almost 25% of the total indicated in the survey.

Most sports betting in Brazil take place online, with a significant presence of international sports betting sites that accept players from Brazil.

Until recently, sports betting was considered as a "gambling game" and therefore an illegal service, for which it was not possible to apply for a trademark registration before the Brazilian Patent and Trademark Office - "INPI".

In 2018, sports betting became legal in Brazil by means of Law #13.756/2018, but still in a very embryonic way.

Law #14.790/2023, also known as the Sports Betting Law, came into force on December 30, 2023, and modified Law#13.756/2018, establishing a new legal framework for the operation of fixed-odds betting in the country, the so-called sports betting.

Law #14.790/2023 establishes the bases for the operationalization, as well as the detailed regulation of sports betting, both in physical and online environments, as well as tax, inspection, anti-fraud counter measures, player protection and social impact aspects.

One of the main conditions for international players to operate in the Brazilian betting market is to be a legal entity dully incorporated under Brazilian law. It is also mandatory for a company to be resident in the country. Foreign companies may be authorized to operate fixed-odds lotteries by setting up a subsidiary in Brazil.

Additionally, permanent or fixed-term licenses/ authorizations must be requested from the regulatory authorities by submitting documents and information demonstrating that it complies with all the criteria and requirements established by Law #14.790/2023.

Brazilian government is still structuring itself to start the process to grant licenses/ authorizations for sports betting operations, having determined in January 2024 the creation of a Secretariat of Prizes and Betting (SPA) under the Ministry of Finance (MF), to monitor and manage the sports betting and online gaming market in the country (still in the implementation and testing phase).

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